According to Benford's Law, What Is the Expectation for the Percentage

question 46

Multiple Choice

According to Benford's law, what is the expectation for the percentage of times that the first digit of a number is the number "1"?

• A) 15.12%
• B) 24.58%
• C) 35.80%
• D) 30.10%

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Definitions:

Dividend Income

Earnings distributed to shareholders from the profits achieved by a company, often calculated per share and paid out in cash or additional shares.

Fair Value

An estimated market value of an asset, liability, or financial instrument, determined based on the current market conditions and not its historical cost.

Equity Investment

Investment in stock or equity interests of a company, representing ownership and often granting voting rights and dividends to the investor.

Fair Value Model

An accounting approach where assets and liabilities are revalued periodically to reflect their current market values rather than historical cost.